Pinnacle West Capital Corp (PNW)

Quick ratio

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020
Cash US$ in thousands 3,838 49,171 4,007 9,634 4,955 15,108 7,658 6,951 4,832 7,032 29,189 13,968 9,969 25,688 14,146 17,202 59,968 181,926 6,763 63,139
Short-term investments US$ in thousands — 641 760 78 38,585 11,376 12,105 16,095 5,709,820 164,794 48,302 206,102 144,792 126,595 82,309 22,611 1,485,870 1,434,980 — —
Receivables US$ in thousands 500,759 820,747 548,573 406,492 491,791 644,288 458,982 438,683 443,517 579,198 397,141 306,965 374,083 404,847 334,361 242,721 300,586 403,671 285,023 271,107
Total current liabilities US$ in thousands 2,843,800 3,197,350 3,112,020 3,055,870 2,889,350 1,968,340 1,932,580 1,724,330 1,762,140 2,060,900 2,022,450 1,596,730 1,756,870 1,649,260 2,023,270 1,330,540 1,360,430 1,244,780 1,496,360 2,295,490
Quick ratio 0.18 0.27 0.18 0.14 0.19 0.34 0.25 0.27 3.49 0.36 0.23 0.33 0.30 0.34 0.21 0.21 1.36 1.62 0.19 0.15

December 31, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($3,838K + $—K + $500,759K) ÷ $2,843,800K
= 0.18

The quick ratio of Pinnacle West Capital Corp has fluctuated over the periods provided. It was notably low in the first quarter of 2020 at 0.15, indicating a potential liquidity concern. The ratio improved in the subsequent quarters of 2020, reaching 1.62 by the end of September 2020, which signifies a strong ability to cover short-term liabilities with liquid assets.

However, the quick ratio declined in the following quarters, dropping to 0.21 in the first and second quarters of 2021. This indicates a potential decline in the company's ability to meet its short-term obligations with its most liquid assets. The ratio recovered slightly in the third quarter of 2021 to 0.34 but remained relatively low compared to the previous high in 2020.

The quick ratio continued to fluctuate between 0.23 and 0.36 throughout 2022, showing some variability in the company's liquidity position. Notably, the quick ratio spiked to 3.49 by the end of December 2022, which may suggest a temporary anomaly or a significant positive shift in the company's liquidity position during that period.

Subsequently, the quick ratio decreased to 0.14 in the first quarter of 2024, indicating a potential liquidity strain. It then gradually increased to 0.27 by the end of September 2024, suggesting some improvement in covering short-term obligations with liquid assets.

Overall, the trend in Pinnacle West Capital Corp's quick ratio shows fluctuations, with periods of both strength and potential liquidity challenges. It is essential for stakeholders to monitor these ratios closely to assess the company's liquidity and ability to meet short-term obligations effectively.